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Loans & Lending Insights
(Australia)
Microsoft Advertising. Intelligent connections.
MICROSOFT ADVERTISING
April 16th 2020
Real estate is experiencing a significant slowdown as a result of COVID 19
Source: Corelogic datasets capturing coronavirus shift.
https://www.corelogic.com.au/news/corelogic-datasets-capturing-coronavirus-shift
Up or relatively steady
Down less than 10%
Down 10 - 25%
Down 25 - 50%
Down more than 50%
0 10 20 30 40
Buyer enquiry shifts over past week
(20th March)
HOME LOAN
Up or relatively steady
Down less than 10%
Down 10 - 25%
Down 25 - 50%
Down more than 50%
0 10 20 30 40
Seller enquiry shifts over past week
(20th March)
105% 110%132%
211%
138%
93%111%
147%
196%
151%
116% 125% 130%
0%
50%
100%
150%
200%
250%
300%
350%
400%
0
20
40
60
80
100
120
Jan 4 Jan 11 Jan 18 Jan 25 Feb 1 Feb 8 Feb 15 Feb 22 Feb 29 Mar 7 Mar 14 Mar 21 Mar 28
Axi
s Tit
le
Ind
ex
Lending insurance search volume, clicks and clicks YoY by week
Clicks YoY Searches Trend Clicks Trend
Contracting housing market softened by RBA cash rate cuts inspiring users to compare new rates
Home Loan* comprises of home equity loans, mortgage loans, and loan refinancing.
Microsoft Internal Data Jan – Mar 2020, data across all devices.
The clicks and search volume trend is indexed to their respective starting value as at 1st January 2020.
1. COVID 19 caused a sharp
decline in consumer sentiment
and rise in unemployment rates,
affecting people’s confidence
and/or ability to purchase
property
2. Clicks began contracting at
average -8% WoW from 4 weeks
between Feb 29 and Mar 21,
however there’s been recovery
from Mar 21 due to 0.25% cash
rate announcement
3. Earlier in March, RBA cash rate
announcements trigger click
activity spikes on platform, as
people are looking to compare
new rates and refinance
HOME LOAN
Reactive audience shown by query volume spikes in line with RBA cash rate announcements
“Home Loan” consists of query bucket that contains “home loan” as a phrase within the query.
Microsoft Internal Data, Mar 2020, data across all devices.
- Lending* click activity
on Microsoft
Advertising platform
shifts in line with RBA
cash rate
announcements
- Clicks still higher year
on year, clicks trending
at -8% WoW for last 4
weeks from rising
coronavirus
uncertainty
0
50
100
150
200
250
300
Ind
ex
“Home loan”* searches in March by day
136%
Trending Queries:
home loan calculator/repayment
calculator
home loan rates/interest rates
[brand] home loan rates
home loan comparison
90%
HOME LOAN
Cash rate cut announcements inspire more engagements as measured by increasing clickthrough rate
Microsoft Internal Data, Mar 2020, data across all devices.
- Lending* click activity
on Microsoft
Advertising platform
shifts in line with RBA
cash rate
announcements
- Clicks still higher year
on year, clicks trending
at -8% WoW for last 4
weeks from rising
coronavirus
uncertainty
$2.63 $2.60 $2.47 $2.45 $2.38 $2.28$2.01 $1.93 $1.97
$0.89
$2.10 $2.03 $1.95
-$4.50
-$3.50
-$2.50
-$1.50
-$0.50
$0.50
$1.50
$2.50
-50%
-40%
-30%
-20%
-10%
0%
10%
20%
30%
40%
50%
CTR and CPC year on year by week
CTR YoY
CPC YoY
CPC
Cash Rate set
to 0.25%
Cash Rate set
to 0.5%
HOME LOAN
32% 48% 29% 31% 20% 18% 34% 50% 57% 60% 24% 5%
-10% -20%
30%
80%
130%
180%
230%
280%
330%
380%
0
50
100
150
200
250
300
350
400
450
500
Jan 4 Jan 11 Jan 18 Jan 25 Feb 1 Feb 8 Feb 15 Feb 22 Feb 29 Mar 7 Mar 14 Mar 21 Mar 28
Axi
s Tit
le
Ind
ex
Personal loan search volume, clicks and clicks YoY by week
Clicks YoY Searches Trend Clicks Trend
Heightened search volume in March due to corona relief queries and RBA cash rate cuts
Microsoft Internal Data Jan – Mar 2020, data across all devices.
The clicks and search volume trend is indexed to their respective starting value as at 1st January 2020.
1. Earlier in March, RBA cash rate
announcements trigger click
activity spikes on platform, as
people are investigating the
impact on personal loan rates
2. The search volume increase in
March unmet by increase in
clicks can be explained by
searchers investigating into:
• Loan relief
• Repayment deferrals
• Arranging repayment
schedules
PERSONAL LOAN
$1.85
$2.21
$0.00
$0.50
$1.00
$1.50
$2.00
$2.50
$3.00
$3.50
$4.00
$4.50CPC trends YoY by week
2020 2019
Market competition has declined both year on year and week on week, marking a good time for
investment
PERSONAL LOAN
Microsoft Internal Data. Jan – Mar 2020, data represents all devices.
-25%
Personal loan searches revolve around speed and ease of application
PERSONAL LOAN
Microsoft Internal Data. March 2020, data represents all devices.
Timeliness Ease of application
Search volume is highest during weekend period, whilst click volume is highest towards start of week
Microsoft Internal Data Mar - Apr 2020, data across all devices.
Searches and clicks based on averages from 7th of March to 3rd of April.
Values depicted are indexed to the daily average.
- Earlier in March, RBA cash rate
announcements trigger click
activity spikes on platform, as
people are investigating the
impact on personal loan rates
- The search volume increase in
March unmet by increase in
clicks can be explained by
searchers investigating into:
- Loan relief
- Repayment deferrals
- Arranging repayment
schedules
0
20
40
60
80
100
120
140
Ind
ex
Searches
0
20
40
60
80
100
120
140
Ind
ex
Clicks
PERSONAL LOAN
Lending activity within Microsoft audience skewed towards older ages and males
OVERALL
- Lending* click activity
on Microsoft
Advertising platform
shifts in line with RBA
cash rate
announcements
- Clicks still higher year
on year, clicks trending
at -8% WoW for last 4
weeks from rising
coronavirus
uncertainty
Microsoft Internal Data. Jan – Feb 2020 aggregates. Data represents all devices.
59%
41%
Searches by gender
Female
Male
Benefits of the Microsoft Advertising
Audience for lending
Microsoft Search Network represents unduplicated visitors to Aol.com web search, Bing web
search and Yahoo! Web Search. https://about.ads.microsoft.com/en-au/insights/planning-
tools/microsoft-search-network-data?Market=AU
23% have household
income in the top
25%
9% are looking to
refinance
+44% lending
searches YoY (1st Jan
to 31st Mar)
OVERALL
advertising.microsoft.com